Coming to a community near you-the Neighborhood Stabilization Program (NSP). The State of Idaho has been awarded $19.6 million from the 2008 Housing & Economic Recovery Act to distribute toward the acquisition and rehabbing of foreclosed or abandoned property in targeted areas throughout Idaho. Funds are to be used for homebuyer activities or rental properties for special needs housing. Applications/proposals are currently being accepted from eligible entities to request these funds. Here are some of the relevant program highlights:

• Eligible applicants for NSP funding: Units of local government, housing authorities, tribes, and nonprofit housing providers.
• Income requirements for beneficiaries/homebuyers-up to 120% of AMI. Do not have to be 1st time homebuyers.
• Homebuyer activity-encouraged to use IHFA products. Must use IHFA-approved Lender. No subprime loan activity allowed.
• The banks are required to discount the foreclosed property by 1% from the current appraised value.
• Targeted areas of greatest need in Idaho: Canyon County, Ada County, Kootenai County, Bonneville County, Twin Falls County, and Bannock County
• Keep in mind this is for the acquisition of foreclosed or abandoned property to stabilize neighborhoods. NSP cannot be used for foreclosure prevention.
• NSP is considered emergency funding-all funds MUST be committed within 18-months and completely expended by July 30, 2013 when the program ends.
• Homebuyers are required to complete the Finally Home! Program for homebuyer education.

For a full description of the NSP Plan, click here (requires Acrobat Reader). Questions may be directed to Karen Frings at karenf@ihfa.org.

To learn more about this program click on one of the following links below. 
NSP Substantial Amendment Plan 
NSP Quarterly Report